Conditions of the separate state, inevitably would conduct to blasting of the uniform monetary

Systems. Clearly, in such a manner that the monetary policy should be entirely business

Federations, instead of the separate states.

But even in the relation of less rough forms of interference in an economic life, than

Regulation of monetary sphere and the prices, possibilities of the separate states will be

Are sharply limited. Though they could supervise quality of the goods, of course,

And applied methods of production, it is impossible to lose sight that at
Impossibility for member state federation not to suppose on the territory
The goods made in other parts of the Union, any burden assigned to those or
Other branch the legislation of this state, would put it in extremely
Unprofitable position in comparison with similar branches in other parts

The union. As has shown experiment of existing federations, even such legislative

Measures, as restriction of child labour or duration of the working day,
It becomes difficult to carry out in the separate states.

As to pure a financial field, methods of replenishment of incomes
Member states also for them would be a little limited. Increased
Mobility between the states will force them to avoid any forms
The taxation, pushing out the capital and a labour in other places. However
Besides there would be significant difficulties with many versions
The indirect taxation. In particular, if has been decided to get rid from
The superfluous costs connected with the boundary control that, undoubtedly,
It is desirable, then it would appear to tax difficultly and any goods,
Which can be imported easily. It would eliminate not only such forms
The state taxation, as, for example, tobacco monopoly, but,
Possibly, and many duties.

I do not have intention more full to consider here those restrictions, which

The federation would impose on economic policy of the separate states. The general

Effect in this direction, I hope, it is already enough illustrated by all
Told above. It is probable to prevent evasion from the fundamental

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